Converting Menston Hall into flats will still go ahead despite Government cuts, social landlord Incommunities has pledged.

The Department for Communities and Local Government announced it is placing a number of Kickstart schemes on hold until the Budget on June 22, when a final decision will be announced.

Included in the list was £770,000 towards the project that would create 30 two-bedroom flats at the site of the historic building in Low Hall Road.

A statement said: Full scrutiny of government expenditure has showed that the previous Government made commitments that were not fully and securely funded. This includes a total £780 million towards housing priorities.”

The work on behalf of Incommunities will see 17 new ‘affordable’ homes offered for general shared ownership. Five others will be available to rent and the remaining eight will be put up for sale at market prices by Incommunities’ construction partners, the Strategic Team Group.

But Incommunities said the project would go ahead.

An Incommunities spokesman said: “The majority of the grant funding – 95 per cent – is not in doubt.

“This has been confirmed by the Homes and Communities Agency, both on May 28 and again on June 2.”

The effect of the government announcement on the scheme relates only to the Homebuy direct apartments.

The Homebuy direct funding was meant to enable the sale by way of shared ownership of two apartments. If this funding is withdrawn the units will be sold at full market value.